| Buy |
| Company |
Publication |
Reason |
Price tipped |
3i Group (III)
Financial services |
The Times |
3i has had a strong start to 2013: its shares have risen 46%, it sold its stake in restaurant chain Giraffe to Tesco, and its new debt arm is promising. It could make the FTSE 100 soon. |
317p
325p/168p* |
Anite (AIE)
Software |
The Times |
Shares in the software provider fell after it said profits would be just under forecasts. But trading remains strong and the shares look cheap on a price/earnings (p/e) ratio of 15. |
129p
163p/106p |
Belvoir Lettings (BLV)
Aim |
Shares |
Strong results are expected from the property-management firm this month. Belvoir is building a national network through targeted acquisitions. |
140p
179p/139p |
British Land (BLND)
Real estate |
The Daily Telegraph |
British Land has raised £500m in a share placing. With the £472m sale of Ropemaker Place, this gives it a £1bn acquisitions war chest. Could confidence be returning to the market? |
555p
588p/462p |
Cineworld (CINE)
Travel & leisure |
Investors Chronicle |
Cinema attendance has remained resilient during the economic slump. Broker Numis reckons Cineworld could grow earnings per share (EPS) by 9% compound between now and 2015. Buy. |
279p
287p/196p |
Condor Gold (CNR)
Aim |
The Mail on Sunday |
Condor Gold plans to turn its 110 square mile plot in Nicaragua into the country’s largest gold mine. Management is experienced and funds should last until late 2014. It’s a risky buy. |
142p
208p/48p |
Dunelm (DNLM)
General retailers |
The Sunday Telegraph |
The warehouse-style retailer is bucking the high-street gloom, opening ten new stores last year and with plans to open another six this year. Growth could also come from online sales. |
860p
865p/433p |
Hangar8 (HGR8)
Aim |
Shares |
The International JetClub acquisition is a boon, providing the private-jet owner with nine new planes. With half-year profits up 40%, the shares are cheap on a p/e of nine. |
194p
239p/87p |
IQE (IQE)
Aim |
Shares |
Shares in the semiconductor wafer maker have slumped 20%, but this is a buying opportunity. Concerns about the threat from competition look overdone and results should impress. |
29p
38p/20p |
Leyshon Resources (LRL)
Natural resources |
Investors Chronicle |
The shale gas explorer recently reported inconclusive drilling results from its China wells, but the market overreacted. The drilling was a technical success and exploration continues. Buy. |
20p
28p/11p |
Lookers (LOOK)
General retailers |
Shares |
A buoyant new car market is boosting revenues at the motor dealer, where profits were up 9%. Lookers’ car parts business is also expected to recover this year. Expect broker upgrades. |
91p
96p/51p |
Mirada (MIRA)
Aim |
Daily Mail |
Aim minnow Mirada makes operating systems and menus used to control interactive TV digital boxes. Investment in new off-the-shelf products could lead to an increase in earnings. |
13p
15p/9p |
Northcote Energy (NCT)
Aim |
Shares |
Northcote offers a fairly low-risk approach to oil production and plans to more than double production this year. The shares continue to trade at a discount to proven reserves. Buy. |
2p
2p/1p |
Northgate (NTG)
Transport |
The Times |
A profit warning has knocked the van rental firm off its tracks, with vehicle utilisation rates in Britain also down. The shares now trade on a p/e of 11; they look interesting at these levels. |
302p
354p/157p |
Playtech (PTEC)
Travel & leisure |
The Daily Telegraph |
The gaming software firm is selling its stake in William Hill Online to William Hill. It’s just signed a new deal with Ladbrokes and plans a return of cash to investors. |
613p
651p/318p |
Regus (RGU)
Support services |
Shares |
The serviced office provider’s acquisition of MWB Business Exchange looks to be a winner. MWB could contribute £20m of earnings and will also boost its high-end London offering. |
157p
165p/82p |
Savills (SVS)
Real estate |
The Times |
Upmarket estate-agent Savills is thriving, with profits up 21% last year. Big in commercial property, it also has a growing franchise in Asia. Its pricey rating of 15 for 2013 is deserved. |
595p
608p/293p |
Starwood European (SWEF)
Investment Trust |
Investors Chronicle |
Starwood will use its £229m funds to issue mortgages against commercial property and riskier mezzanine loans. The portfolio should yield 8%-9% when fully invested later this year. |
106p
106p/100p |
Soco International (SIA)
Natural resources |
The Times |
With attractive assets in Vietnam and Africa, Soco looks likely to be snapped up by a suitor in the next year. Meanwhile, it plans to return $320m to shareholders, suggesting a 9% yield. |
383p
408p/253p |
Tangiers Petroleum (TPET)
Aim |
Shares |
The drop in the share price since the farm out of half of Tangiers’ Moroccan licence to Galp Energia looks overdone. News flow on possible acquisitions should boost the shares higher. |
19p
46p/18p |
| Sell |
| Company |
Publication |
Reason |
Price tipped |
Alpha Pyrenees (ALPH)
Real estate |
Investors Chronicle |
The French commercial landlord has axed its dividend and finally admitted that its substantial debts from currency hedging are an issue. The only option for the firm is liquidation. Sell. |
6p
29p/6p |
Bwin.Party Digital (BPTY)
Travel & leisure |
Investors Chronicle |
Last year was bad for the online gaming provider: it was hit by a 5% turnover tax in Germany and difficulties with the Party Gaming merger. The shares may face further pressure. |
140p
163p/91p |
Mitie (MTO)
Support services |
Investors Chronicle |
The outsourcing specialist overpaid for the Enara acquisition, which has moved its focus away from its core business. Profit margins are being squeezed and working capital is strained. Sell. |
294p
303p/252p |
Thomas Cook (TCG)
Travel & leisure |
The Times |
Thomas Cook shares are up 141% since January 2012 as new chief executive Harriet Green has initiated cost savings. With the likelihood of a £300m fundraising, it’s time to take profits. |
116p
129p/14p |
JD Wetherspoon (JDW)
Travel & leisure |
Investors Chronicle |
A large tax bill last year and rising costs are making life more difficult for the discount pub chain. This year will be its sixth consecutive year of margin decline. It’s time to sell. |
518p
554p/367p |
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* 52-week high/low |